Ebusco has announced that it has initiated legal proceedings against a customer for payment for 45 buses.
The unnamed customer in question – based in the Netherlands – informed Ebusco of its decision to cancel orders of 59 buses, 45 of which are 12-metre buses.
Ebusco says that all 45 of these 12-metre buses have already been manufactured, with 30 being in the Netherlands / Europe ready for delivery. Of the remaining 15 buses, 10 are in transit to the Netherlands and 5 are about to be shipped to the Netherlands.
On 21 October, a court hearing took place in preliminary relief proceedings initiated by Ebusco, which is seeking payment from the buyer for the 45 buses. The bus manufacturer said it had started these legal proceedings “to seek a quick resolution of this dispute ahead of the launch of the proposed rights issue”. Ebusco further said that “losing the order would put a significant strain on its working capital position”.
On 17 October, the customer managed to levy pre-judgment attachments on some of Ebusco’s bank accounts – meaning the customer has obtained a court order to temporarily freeze or restrict Ebusco’s access to certain bank accounts before a final judgment in the legal case has been made. Ebusco obviously contends this and says it is making best efforts to lift the attachments as quickly as possible.
To preserve its working capital, Ebusco says it has largely suspended its production in anticipation of the outcome of the court hearing and the completion of the contemplated rights issue. The turnaround plan and the proposed rights issue are to be discussed at Ebusco’s upcoming extraordinary general meeting of shareholders on Thursday, 24 October 2024.
Other orders with Ebusco have also been cancelled:
An order with Connect Bus for 47 buses is in an advanced stage of production. Discussions here are under way with various parties to sell these already manufactured vehicles.
Ebusco also had an order with Keolis Sweden for 50 buses, which the two parties have agreed to cancel. The original contract cited an option for a minimum of 75 buses and this remains intact.
